This week my stock of the week is Ixia ( XXIA) which on Friday shot up 7.6% as it broke out of a six week base. The stock was featured on Monday as a stock to watch. XXIA closed up 12.4% for the week.
Ixia "manufacturers ethernet interface cards that test performance and functionality of network equipment and applications." Investors.com gives the stock an overall A (97) for fundamentals and ranks it as #1 in its group for accumulation/distribution.
Ixia has been on a stellar run for the year, the stock is up 143% to date. Looking at a weekly chart will reveal that this is XXIA's fourth breakout in this run. Typically 4th and 5th stage breakouts are more reversal prone, so tighter stops are never a bad idea. Looking ahead the $20 - $22 area is a multi-year high from 2005 which is most likely where XXIA will find is next strong resistance.
Buypoints were $16.50 and $17.20 as highlighted by the daily chart below. This market is very reversal prone so stay frosty out there .
Disclosure - I currently hold shares of EZCH.